The human factor and effective management of capital and technology

It is commonly supposed in contemporary analysis that economic growth is the main ingredient necessary for the development of a region and that the primary engines of economic growth are investment in capital and technology (The Economist:23-25). The growth model itself has not been well understood and, unfortunately many who have tried to follow it have found that it did not give the desired results. Usual assumptions are that to achieve development, economic growth must be achieved, and this will happen as the result of investment in capital (including human capital), and technology. Attempts to quickly expand capital have often involved obtaining foreign loans under the assumption that this would bring growth and permit easy repayment of the loans and extra capital that would bring further growth. Often, however, this approach has brought the bondage of debt that has been a burden, especially for the poor, who may not have benefited from the loans.

A position paper on the importance of capital and technology to human factor development.